Charles Schwab Corp. is reportedly set to purchase another private asset management business, according to a published report. The San Francisco-based broker has agreed to purchase State Street Corp.’s private-asset management business for the price of $300 million, reports the Boston Globe.
The paper cites “a person familiar with the matter" as its source. It also names Northern Trust Corp. of Chicago and Pittsburgh-based Mellon Financial Corp. as likely other bidders for the unit.
The State Street unit would become part of Schwab’s U.S. Trust arm, according to the report. Currently, U.S. Trust manages about $134 billion in assets. The deal would bring it another $13 billion.
Alan Weber, chief executive of U.S. Trust, told analysts last month that the is seeking to enter cities such as Boston, Atlanta, and Chicago and may do so through acquisitions, according to the paper.
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